Updated: Letters Mandated Electronic Payments for Individuals

As part of the department's ongoing efforts to become more efficient, mandate letters were mailed to certain individual income taxpayers who made estimated tax payments for 2010 by paper means. For the 2011 tax year, the department will only require individuals who made $20,000 or more of estimated tax payments to use an electronic funds transfer (EFT) method. If making payments by EFT causes an undue hardship to the individual, a waiver request can be made.

The letter notified the individual that they are required to make their future estimated tax payments using an EFT method. The taxpayer will have three different ways to make an EFT payment: 1) use the department's free Pay Online system; 2) use ACH credit through a financial institution; or 3) use a credit card through Official Payments Corporation.